U.S. Dollar Tests Traders’ Nerves Amid Trade Talks: Analysis For EUR/USD, GBP/USD, USD/CAD, USD/JPY

U.S. Dollar Index Is Stuck Near The 99.00 Level

U.S. Dollar Index is swinging between gains and losses as traders focus on the second day of trade talks between U.S. and China.

In case U.S. Dollar Index manages to settle above the 99.20 level, it will head towards the resistance, which is located in the 100.20 – 100.40 range.

EUR/USD Is Flat As Traders Focus On Trade Talks

EUR/USD is mostly flat as traders are not ready for big moves during negotiations between U.S. and China. The results of the trade talks between the world’s biggest economies may have a material impact on forex market dynamics.

EUR/USD continues its attempts to settle above the resistance at 1.1410 – 1.1425. If EUR/USD manages to settle above the 1.1425 level, it will head towards the next resistance level, which is located in the 1.1555 – 1.1570 range.

GBP/USD Retreats As BRC Retail Sales Monitor Misses Expectations

GBP/USD pulled back as traders reacted to the disappointing BRC Retail Sales Monitor report from the UK. The report indicated that Retail Sales increased by +0.6% year-over-year in May, compared to analyst forecast of +2.7%.

In case GBP/USD settles below the 1.3500 level, it will head towards the nearest support level at 1.3420 – 1.3440.

USD/CAD Moves Lower Despite Pullback In Precious Metals Markets

USD/CAD made an attempt to settle above the 1.3700 level but lost momentum and pulled back towards the support at 1.3650 – 1.3665.

A move below the 1.3650 level will push USD/CAD towards the support level at 1.3575 – 1.3590.

USD/JPY Tests The 145.00 Level

USD/JPY gained some ground as the rebound continued. Treasury yields were mixed today, but traders remained bullish.

If USD/JPY manages to settle above the 145.00 level, it will head towards the recent highs near the 146.00 level.

For a look at all of today’s economic events, check out our economic calendar.